Rane (Madras) Ltd. (RML) registered a sales & operating income of Rs. 726.60 crores for 2013-14, showing an overall growth of 14 per cent over the previous year. The Board has recommended a dividend of 55 per cent for the year.
During the year Rane Diecast Ltd. (RDL), one of the group firms manufacturing precision, high pressure aluminum die-casting products for the automobile industry, was amalgamated with the company with the approval of the Madras High Court. The merger has given the company a new product line that has its potential to grow, opens up new customers to both the businesses and offers financial strength to support two distinct areas catering to the automotive industry.
Sales of RML in the domestic and export markets grew by four per cent and 70 per cent respectively compared to last year. The company incurred exceptional expenses of a VRS for employees amounting to Rs. 9.43 crores during the year, which affected profit earning.
It may be noted that during 2013-14 the domestic automobile market witnessed negative growth in all the segments except the farm tractor.